As a result of the financial and economic crisis, the public has greater focussed on responsible corporate management based on long-term appreciation in value and compliance with the rules and standards implemented for this purpose. As a result, measures are increasingly being put in place intended to restore the confidence of market participants.
Austrian Corporate Governance Code
The Austrian Corporate Governance Code, continuously modified since its appearance in 2002, has developed into a standard for listed Austrian companies.
An Austrian Corporate Governance working group regularly examines provisions appropriate to Austria based on national and international developments and adjusts the Code to take them into account.
The framework of rules making up the Code demands a high level of transparency, thereby helping greatly to increase confidence in the Austrian capital market.
The total of 83 rules in the Austrian Corporate Governance Code are divided into three different categories. Mandatory legal requirements must naturally be complied with. In the case of rules based on standard international requirements, companies must declare and explain non-compliance in order to be in compliance with the Code. The Code is completed by rules of a purely recommended nature. Non-compliance with these rules does not require disclosure or explanation.
The Austrian Code of Corporate Governance is a self-imposed obligation voluntarily assumed by companies that becomes binding as a result of an annual public declaration of compliance with its rules.
Corporate Governance in the Vienna Insurance Group
The management of the Vienna Insurance Group places great importance on observing and complying with the provisions of the Austrian Corporate Governance Code for the purpose of creating sustainable value for all stakeholders.
The Vienna Insurance Group adheres to the rules of the Austrian Code of Corporate Governance. Many departments in the Group actively assist management in the practical application of the Code.
All of the activities involved in putting corporate governance into actual practice centre on open and transparent communications, both between participants inside the Group and with all external market participants.
The Vienna Insurance Group views corporate governance as an ongoing process that changes constantly in response to changes in current conditions and trends and must be continuously improved for the benefit of the Group and all of its stakeholders.
The Vienna Insurance Group has declared its adherence to the Code for years, and each year provides a report on its compliance with the Code’s provisions in its Annual Report as well as on the Internet.
The detailed Vienna Insurance Group Corporate Governance Report for financial year 2009 is provided under .
The report includes a declaration of adherence to the Code, notes to the Code, and detailed information on the composition of and procedures followed by the Managing Board and Supervisory Board, clearly listed and presented in a structured manner.